First Data 2014 Annual Report Download - page 38

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
Capital expenditures in 2014 increased compared to 2013 due primarily to technology additions and International
ATM and POS additions. Capital expenditures are anticipated to be approximately $550 million to $600 million in 2015 and are expected to be funded by
cash flows from operations. If, however, cash flows from operating activities are insufficient, we will decrease our discretionary capital expenditures or utilize
our revolving credit facility.
During the periods presented, net proceeds were received for the sale of certain assets, including buildings and equipment.






Short-term borrowings, net
$ 11.8
$ (109.6)
$ 99.1
Proceeds from issuance of long-term debt
350.0
—
—
Debt modification (payments) proceeds and related financing costs
(342.8)
(10.3)
17.3
Principal payments on long-term debt
(2,261.8)
(92.2)
(83.3)
Proceeds from sale-leaseback transactions
—
—
13.8
Distributions and dividends paid to noncontrolling interests and redeemable
noncontrolling interest
(265.4)
(224.5)
(261.9)
Purchase of noncontrolling interest
(1.0)
(23.7)
(25.1)
Capital transactions with parent, net
1,788.2
(29.8)
(8.4)
Net cash used in financing activities
$ (721.0) $ (490.1) $ (248.5)
 For all three years, the cash activity resulted primarily from net borrowings and paydowns on our international credit lines used
principally to prefund settlement activity.
As of December 31, 2014, our senior secured revolving credit facility had commitments from financial institutions to provide $1.0 billion of credit and
matures on September 24, 2016. Besides the letters of credit discussed below, we had $10 million outstanding as of December 31, 2014 and no amount
outstanding as of December 31, 2013. As of December 31, 2014, $964 million remained available under this facility. Excluding the letters of credit, the
maximum amount outstanding against this facility during 2014 was approximately $474 million while the average amount outstanding during 2014 was
approximately $107 million.
We utilize our revolving credit facility to fund investing or operating activities when cash flows from operating activities are not sufficient. We believe the
capacity under our senior secured revolving credit facility will be sufficient to meet our liquidity needs. Our senior secured revolving credit facility can be
used for working capital and general corporate purposes.
There are multiple institutions that have commitments under this facility with none representing more than approximately 25% of the remaining capacity.
In July 2014, we received $350 million from the issuance of 2018 New Term Loans and proceeds were used for
general corporate purposes.
 In conjunction with issuing debt in November 2013, we received $55 million in cash
related to accrued interest on the notes which were issued mid-coupon period, which was paid in the first quarter of 2014. Additionally, our debt
modifications and amendments completed in 2013 and fully settled in the first quarter of 2014 were accounted for as modifications resulting in only the net
effect of the transactions of $35 million, including payment of capitalized fees, being reflected as a use or source of cash excluding certain fees included in
the our results of operations. Also, in July 2014, we incurred call premiums and deferred financing costs of $252 million in the third quarter of 2014
associated with certain debt repayments and new borrowings. Refer to Note 6 "Borrowings" to our Consolidated Financial Statements in Part II, Item 8 of this
Form 10-K.
 In conjunction with the debt modifications and amendments discussed above, proceeds from the issuance of new notes
were used to prepay portions of the principal balances of our senior secured term loans which satisfied the future quarterly principal payments under the
senior secured credit facility.
38